# Business Model

### Training Shares and Ownership

* Hex allows the developers to monetize these modified(finetuned) models and based upon the revenues generated by these models from the end users each developer who was involved in the chain to generate this version of the modified AI model is incentivized based upon their contribution percentage.
* This percentage of revenue which goes in as incentives is calculated by taking into account various factors like model trends, generations by users, ratings, etc.

### Models could be of two types:

1\) Open-source

2\) Closed-source

Both of these types of Models have their kind of revenues

### Open-Sourced AI Models

Open-source AI models allow other developers to fork your model and use the trained model as a starting point, enabling them to further customize and enhance the model as needed. This allows for extensive customization and promotes innovation and growth. Previous model owners will be getting a share of the revenue from the new forked ones incentivizing them for creating something usable by others by making it a little better.

1\) Royalties to the trainers of the earlier model which was forked (Minimal)

2\) Earnings to the trainer whose version is trending the most (Majority)

### Closed-Source AI Models

Developers can start training or tuning their pre-trained models for better AI generations, in this process, they can decide to keep their model closed-source. They can create APIs to serve their model to other developers and start getting payments at any time. They can put out their model for sale anytime on the platform marketplace where other Users who see if this model is earning enough can buy out the model to get the majority of API revenue. In this scenario, revenue is split into two parts:

1\) Royalties to previous trainers who contributed (Minimal)

2\) Earnings to the present owner (Majority)

### HEXS Earning

We take a fraction of the platform fee for every transaction happening on AI Models.


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